Linas Agro’s valuation discount to peers is substantial and we believe it could start to close once we see Grain trading profits and an improvement in the Food segment.

FY 2020/21 marks a record year in sales and a 7-year high in earnings. The announced Kauno Grudai (KG) acquisition price is attractive in our view, and we look forward to seeing it integrated into Linas Agro in 2021/22 forming the biggest company on the Baltic stock exchange in terms of sales.